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Ripple and the SEC have reached an agreement to settle the lawsuit with a $50 million payment, and Ripple will get $75 million back.

This will end a legal battle that began in 2020 and pressured XRP for years.

XRP’s price jumped more than 10% as investors expect the court to approve the deal soon.

The SEC and Ripple Labs today filed a motion seeking court approval to pay $50 million of the originally proposed $125 million to end a long-running legal dispute and lift an existing injunction against Ripple.

Under the terms of the settlement, the remaining $75 million will be returned to the company. The motion was filed with Judge Analisa Torres in the U.S. District Court for the Southern District of New York. This marks the official end of one of the most closely watched and protracted legal battles in the crypto industry.

The case began in December 2020 when the SEC, under then-Chairman Gary Gensler, accused Ripple of conducting unregistered securities offerings through the sale of XRP tokens.

Despite the litigation, Ripple appears to be in a relatively stable financial position and poised for growth. This settlement comes at a time when Ripple is benefiting from regulatory changes under President Trump’s administration.

Just last month, Ripple made a significant move by acquiring brokerage firm Hidden Road for $1.2 billion, and was rumored to be in talks with Circle, a USDC issuer, for a potential $5 billion acquisition, though that offer was rejected.

Now that the lawsuit is behind us and most of the liquidated damages have been paid back, Ripple is expected to step up its acquisition strategy both in the US and abroad.

The case reinforced the position that XRP is a commodity and not a security, potentially paving the way for the approval of an XRP ETF.

Senior ETF analysts at Bloomberg said that five spot XRP ETFs, including Grayscale, 21Shares, WisdomTree, Bitwise, Canary and Franklin Templeton, have an 85% chance of being approved after a change in leadership at the U.S. Securities and Exchange Commission (SEC).

This is a significant improvement from their forecast two months ago, which put the chances of XRP being approved in 2025 at 65% .

Similarly, the odds of XRP ETF approval by December 31 is 77% on Polymarket.

Ripple’s ties to U.S. regulators also appear to be strengthening. Although there are rumors today that President Trump was misled into approving XRP as part of the nation’s crypto reserve, Ripple’s lobbying efforts with the administration are well documented. The company’s proactive engagement with policymakers is now paying off.

XRP, Ripple’s native cryptocurrency, jumped more than 10 percent in early trading Thursday after it was reported that Ripple and the U.S. Securities and Exchange Commission filed a joint request for a tentative ruling to finalize their long-running legal settlement.

At the time of writing, XRP is trading around $2.28, up 7% in just 24 hours earlier. Although the price corrected slightly after the announcement, the rally was strong enough to break through the $2.3 mark today.

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Analysts now see resistance at $2.5, with some suggesting a breakout to $3. And if the settlement is approved quickly and macroeconomic conditions remain stable, the price forecasts are wildly wild at $7 and $20.

The final decision has not been made yet, but the market is clearly betting on a favorable outcome. If the court approves the joint request, XRP could be ready for a massive rally.